Archive for the ‘Movie’ Category

If the change from film to digital was the equivalent of a magnitude 5 earthquake, the changes to photography in the next 10 years will be equivalent of a magnitude 10.

The Digital Journalist, the monthly online magazine for visual journalism, has been predicting many of these changes for the past 10 years. In 1997 we stated that the days of the use of film were coming to an end. We also said that in the future photojournalists would no longer be shooting still pictures, but instead would be using video as their prime medium of acquisition.

29 January 2007, MUMBAI: In the single-largest investment in Indian media, global private investment firm Blackstone Group has announced it will be pumping in $ 275 million (approximately Rs 12.38 billion) to acquire a stake in Ushodaya Enterprises Limited (UEL), the holding company that manages Ramoji Rao’s media assets.

While yesterday’s announcement gave no details on the quantum of the stake that Blackstone would be taking in the south Indian media baron’s closely held company, media reports have put it at 26 per cent. This would put UEL’s enterprise valuation at $1.06 billion.
Source: Indiantelevision.com

5 July 2006:Bollywood film group Eros International Plc, which owns and distributes Indian films globally, raises about 22.5 million pounds ($41.48 million) on London’s Alternate Investment Market.

On July 4 Bollywood film group Eros International Plc announced that it had raised about 22.5 million pounds ($41.48 million) in an offering on London’s Alternate Investment Market (AIM). Eros International owns and distributes Indian films around the world in a variety of formats. For the nine month period ended December 31, 2005 Eros recorded revenues of $32.2 million on which it earned an EBITDA of $12.6 million.

In a release the Exchange said the company “has an initial market capitalisation of 176 million pounds, making it the largest listed company in the Indian film industry”. Eros chairman and chief executive, Kishore Lulla said, “we are now at a point in our history where the business is of sufficient scale to exploit the significant opportunities presented to us by the growing Indian entertainment sector globally. As a listed company, we will have the increased financial strength, visibility and currency to help us achieve our objectives.” advertisement

Eros, which was founded in India in 1977, has a film library containing more than 1,300 titles and more than 110 employees in India, Britain, the United States, United Arab Emirates, Australia and Fiji. It will use the monies raised to expand its business and exploit content over new media such as online cable, wireless and mobile. It recently launched http://www.bondemand.tv an online Bollywood movies, videos and music download service. The promoter of Eros, Lulla is also involved in the B4U (standing for Bollywood for you) television channels.

Bollywood movies have had niche audiences in countries other then India for example Russia, Egypt for a long time. This is gradually becoming more mainstream. Further over the last few years Hollywood has started taking notice of the potential of Bollywood, both as a large audience (India’s own billion people and Indians living outside the country) and as an exporter of content. Recently the first instance of Hollywood buying the rights for a remake of a Bollywood movie was another indicator that the country’s movie industry has come a long way. Eros is well placed on the brink of this expected high growth.

Eros derives a majority of its revenues outside Indian thus an international listing made sense. Both Indian companies with global revenue streams and companies with India-centric businesses are increasingly findiing an openness in alternative markets to fund their capital requirements. In March this year Man Industries became the first Indian company to list on the Dubai International Financial Exchange (DIFX) raising $35 million of GDRs.

BANGALORE: Southern matinee idol Mohanlal is forging a strategic pact with Paul John Enterprises to jointly develop a category of ‘evening snack foods’. Under the agreement, Mohanlal Taste Buds, which is already into the packaged food and restaurant business, will produce and distribute a product-line which could go well with beverages.

For the Rs 500-crore Paul John Enterprises, the move holds significance as it one of the fastest-growing Indian made foreign liquor (IMFL) companies, with sales projected to touch 7.5m cases in FY06.

Its flagship brand Original Choice is among the top five domestic whiskies. The new snack food portfolio, which includes chips, wafers and cheese balls initially, before extending it to non-vegetarian delicacies at a later date, is likely to come under the Original Choice umbrella.

“We are taking steps into the snack foods business and our plans would depend on how the arrangement with Mohanlal Taste Buds goes,” Paul John, a Florida-based NRI who runs liquor and hospitality businesses told ET.

As part of the deal, Mohanlal, arguably the biggest-ever draw in the Malayalam film industry, will also be the brand ambassador for Paul John Enterprises ventures. It must be mentioned that the group operates Kumarakom Lake Resort, a luxury hospitality project in Kerala’s scenic backwarters.

“I believe our plans to develop an evening snack category will be interesting, as it is complimentary to our other businesses,” added Mr John.

Depending on the success, Mr John hopes to unveil a full-fledged foods division and expand the business into other markets such as Andhra Pradesh and Karnataka where he has significant operational footprint.

Original Choice brand is in the midst of a frenetic growth with IMFL volume slated to cross 10 million cases in the next 2-3 years making it a significant player in the domestic liquordom.

NEW DELHI: A year ago when you entered a movie hall, you strolled past some movie posters and headed straight to the food counter for popcorns and cold drinks. Now when you step into a hall, you literally have to watch your step. There’s a Nike ball breaking out from the floor of the hall, there’s a DHL cutout here, a Hero Honda bike parked there, a promotion for Brylcreem, hall seats sporting the Signature whisky brand, posters of Airtel ad telling viewers to download Fanna songs, Nestle Milk on the breakfast table in the movie Fanna…

Whether it is the hall premises, interval breaks during films, or the film itself, advertisers see merit in the medium. Compared with TV, ads on the big screen escape the clutter and the TV remote that unscrupulously jumps to another programme the minute a TV serial breaks for a commercial. Ajay Mehta, director, Interactive Television, sees cinema as an opportunity to grab attention of the captive audience. In Mehta’s view lifestyle brands to insurance companies can capitalise on the multiplex boom to reach out to their respective target audience in far.

MUMBAI: Shree Ashtavinayak Cine Vision Ltd (SACVL), a film production and distribution house, is tapping the capital market. The company plans to raise Rs 500-550 million through an initial public offering (IPO) to ramp up its film production business.

SACVL, which produced Maine Pyar Kyon Kya along with Sohail Khan productions, has appointed Allianz Securities to lead manage the issue.

“We have a business plan to increase our production pipeline from three to five films a year. The size of the IPO should be in the range between Rs 500-550 million. We are awaiting the regulatory approvals,” says Shree Ashtavinayak Cine Vision chief financial officer Shyam Sunder.

The company will offer a public issue of 37,28,000 equity shares of Rs 10 each at a premium to be decided through the book building process. The price band will be fixed later.

The IPO proceeds will be used towards film production and purchase of equipment. SACVL has earmarked Rs 459 million for production of three films while Rs 141 million will be for equipment buying. “We have a movie by Abbas Mastan on the floor with Ajay Devgan, Sanjay Dutt and Bipasha Basu as the lead cast. The other two movies are at the pre-production stage,” says Sunder.

The company distributes 10-12 movies a year. SACVL will be distributing Golmaal which is slated for release on 14 July. Main Hoon Na, Garv, Mujse Shaadi Karogi and Aitraaz are among the movies distributed by the company.

The promoters’ holding will come down from 74.14 per cent to 50.85 per cent. The company’s turnover for the nine months ended 31 December 2005 stood at Rs 469 million with Maine Pyar Kyon Kya accounting for Rs 320 million while income from distribution stood at Rs 140 million.

MUMBAI: Anil Ambani-controlled Adlabs Films has submitted a bid for setting up three film studios at Film City in Mumbai’s Goregaon suburb.

“Film City had come out with a tender. We have submitted our bid and are confident of bagging it,” says Adlbas Films chairman and managing director Manmohan Shetty.

The plan is to make studios which would match the quality of Hollywood with shooting floors, editing and processing facilities.

Adlabs runs a chain of multiplexes and is engaged in the business of film production, processing and editing. After Ambani took a controlling stake, the company has also ventured into film distribution to spread its presence across the entire value chain.

Film City has received nine bids for the Rs 30 crore project, according to a report which quoted managing director Bhushan Gagrani.

In the 90s, Film City harboured the dream of setting up three studios but had to shelve the project due to lack of financial resources. Pressed by a fast-growing film and television industry, the decision to revive the project was taken recently under the build-operate-own-transfer model. The bidder who offers to transfer the assets in the shortest period will be awarded the contract.

"We will be making Hollywood movies only with Hyde Park Entertainment. The first co-financed movie will start production in the next 2-3 months. We are finalising the investment details. We are also working out other movie projects," says Adlabs Films chairman and managing director Manmohan Shetty.

The signing of the co-production, film financing deal with Hyde Park Entertainment Group comes after Adlabs Films has set up offices in UK and US. Though distribution of Bollywood movies will form the primary business activity, the overseas operations will also explore opportunities in film production and post-production activities.

Adlabs plans to distribute 18-24 films overseas this year and has some of the biggest films lined up for release in the coming months, like Rakesh Roshan’s Krrish, Sajid Nadiadwala’s Jaanemann, Ravi Chopra’s Babul and Mani Ratnam’s Guru.

Hyde Park Entertainment, a production, financing and international sales company privately held by American film producer Amritraj, is planning to establish a foothold in India and is in talks to form a joint venture with an Indian animation company.